The movement is caused by technical as opposed to fundamental factors affecting sentiment.

For instance, technical analysts may identify a particular support price, and as a result, an increase in price is experienced once that price is reached.

It is a Short rise in securities or commodities futures prices within a general declining trend. Such a rally may result because investors are bargain-hunting or because analysts have noticed a particular Support Level at which securities usually bounce up. Technical rallies do not last Long, however, and soon after prices resume their declining pattern.